Implementation of City Gs Distribution Project in Wajo Regency, South Sulawesi

Natural gas is a major source of electricity generation through the use of gas turbines and steam turbines. Natural gas burns more cleaner than other hydrocarbon fuels, such us oil and coal and produces less carbon dioxide per unit of energy release.\ud About 20 years, Energy Equity Epic Pty. Ltd as contractor sharing with PERTAMINA has been explored natural gas in Wajo Regency, South Sulawesi as a source of electricity generator.\ud As a result of its environmentally friendliness and stable supply environment, natural gas is increasingly used in a wide range of application. In 2011, Ministry of Energy and Mineral Resources approve for the appropriation 5 MMSCFD for the city gas distribution project, which has been launched in several cities in Indonesia.\ud The purpose of this paper is to analyze the availability, infrastructure, economics and regulation of using natural gas in City Gas Distribution project and its prospect. It is found that the supplies of natural gas in Wajo regency is still fulfill the demand, because there are seven wells which have not been explored. In addition, it discusses the existing and proposed infrastructure of to support City Gas Distribution Project and how to make a regulation considering many parameters such as provide consumers lowest possible network tariff and compression charge and faster penetration of distribution network and reach to all segments of consumers. The implementation of city gas project has to consider benefits to all stakeholders, like consumers, government, society and upstream entities